Nuclear reactor fuel prices have risen to an all-time high as demand from AI data centers intensifies market pressures brought on by Russia's invasion of Ukraine.

According to data supplier UxC, the cost of enriched uranium has increased from $56 three years ago to $190 per work unit, which is a typical measure of the labor needed to separate uranium isotopes. Nuclear power has seen a comeback in popularity as governments and businesses seek carbon-free energy sources big enough to supply towns and huge industrial complexes.

As they fight for market share in generative AI, tech giants like Microsoft, Amazon, Google and Oracle are interested in utilizing the fuel to power the incredibly resource-intensive data centers they are rushing to build up. After Russia invaded Ukraine over three years ago, the industry's worries have been exacerbated by increased rivalry for energy.

The process of converting mined uranium into the enriched fuel required for a nuclear reactor involves Russia as a key player, but costs have reached all-time highs due to US sanctions and a Russian export ban.

The expiration of a US waiver for imports at the end of 2027 is expected to worsen the problem, according to executives and data analysts. The industry is under pressure to locate new facilities capable of converting uranium into pellets used in nuclear reactors as a result of that drive. The US, Canada, and France are the three primary Western nations operating uranium conversion plants outside of Russia.